# Samancor Chrome’s history goes back as far as 1975, when it was established as a result of a merger between SA Manganese Ltd and Amcor Ltd. SA Manganese was formed in 1926 to mine manganese ore in the Northern Cape. Amcor was established in 1937 to exploit mineral deposits for the steel industry and to process those minerals into ferralloys. Samancor was listed on the Johannesburg Stock Exchange until 1998 when the minority shareholders were bought out by the then majority shareholders, Billiton and AngloAmerican. This resulted in the delisting of the company and shareholding of 60% African Metals Ltd (a BHPB Company) and 40% Anglo South Africa Capital (Proprietary) Ltd (an Anglo American company). Samancor then consisted of chrome and manganese operations and stainless steel investments with marketing and distribution arrangements via structures held wholly and indirectly by BHPB and Anglo American. Towards the end of 2004, bids were invited for the purchase of Samancor Chrome. The successful bidder, the Kermas Group, effectively took over the operations from 1 June 2005. In November 2009 International Mineral Resources (IMR) became the majority shareholder with a 70% direct shareholding in Kermas South Africa (Pty) Limited. What we do South Africa currently supplies in excess of 50% of worldwide charge chrome demand. This position can be ascribed to the following factors: The Bushveld Igneous Complex, which contains nearly 70% of the estimated world reserves of chromite; The development, in the early sixties, of the AOD process which facilitated the introduction of South African charge chrome into the stainless steel industry; and Historically cheap power, driven by the existence of extensive steam coal reserves. Over 80% of Samancor Chrome’s chrome ore output is consumed in the production of ferrochrome in South Africa. The remainder of the ore is exported. Some 85% of chrome alloy production is exported to stainless steel producers across the globe. Stainless steel, a steel alloy, typically contains 18% chrome and 8% nickel. The chrome content in stainless steel gives it its luster, shiny appearance and resistance to corrosion. Our outputs include the chrome ore extracted by our mines and chrome alloys produced by our plants. Samancor Chrome''s five fully integrated and self-reliant chrome alloy plants have a combined annual production capacity of more than one million tons of alloy, including charge chrome, intermediate carbon ferrochrome (IC3), low-carbon ferrochrome and ferrosilicon chrome. Our mining operations’ total combined ore resources exceed 450 million tons, calculated to a depth of 300 metres, with an annual production capacity of between five and ten million tons. The company’s total chromite resources exceed 650 million tons and are expected to support current mining activity for well over 200 years at the current rate of extraction. Some ores and concentrates are exported, but main allotments are destined for conversion into ferrochrome at the alloy plants. Samancor Chrome’s core business is the mining and smelting of chrome ore. With an annual capacity of some one million tons, Samancor Chrome is one of the largest integrated ferrochrome producers in the world. We produce three grades of ferrochrome, namely charge chrome, intermediate carbon ferrochrome and low carbon ferrochrome, each used in different areas of the stainless steel smelting process. Samancor Chrome is a private company which recently underwent a change of ownership: previous shareholders BHP Billiton (60% ownership) and Anglo American (40% ownership) sold the company to the Kermas Group in June 2005 after evaluating several offers to arrive at the option promising the most prosperous future for the company and the best value for shareholders. In November 2009 International Mineral Resources (IMR) became the majority shareholder with a 70% direct shareholding in Kermas South Africa (Pty) Limited. The company corporate office is based in Sandton, Johannesburg. Three ferrochrome plants and two chrome ore mining complexes operate as separate business units in different locations in South Africa: Western Chrome Mines in the Rustenburg area in the North West Province. Eastern Chrome Mines near the Lydenburg /Steelpoort area of the Northern Province. Ferrometals near eMalahleni, Mpumalanga Province. Middelburg Ferrochrome and Middelburg Technochrome near Middelburg, Mpumalanga Province. Tubatse Ferrochrome in the Lydenburg / Steelpoort area of the Mpumalanga Province. Samancor Chrome is the second largest ferrochrome producer in the world, producing, subject to market conditions, in excess of 1 million metric tonnes (Mt) of charge chrome, approximately 70 thousand metric tonnes (Kt) of Intermediate Carbon Ferrochrome, and some 40 Kt of Low Carbon Ferrochrome per annum. In addition, Samancor Chrome sells more than 700 Kt of chrome ore per annum on the export market.